A construction company tied to the family of former Ako Bicol party-list representative Zaldy Co has emerged as one of the country’s top contractors for farm-to-market road (FMR) projects this year, raising concerns in the Senate over the pattern of project allocations in Region 5.
Hi-Tone Construction and Development Corporation, co-founded by Co’s brother Christopher, ranked third among top FMR contractors in 2024 with P221.8 million worth of projects, based on DPWH data obtained by Senator Sherwin Gatchalian.
“Obviously Hi-Tone, ito ‘yung construction company na connected kay Zaldy Co,” Gatchalian said during the Senate deliberations on the Department of Agriculture’s proposed 2025 budget.
He noted that Region 5 recorded the most FMR projects this year, hinting that the alignment with Hi-Tone’s strong placement may not be “coincidental.”
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Rising Red Flags on Overpricing
The senator also flagged massive discrepancies in project costs, some reaching P348,432 per meter—a sharp contrast to the DPWH standard of P15,000 per meter. His office estimated that up to P10.3 billion may have been lost to overpricing between 2023 and 2024.
“Obvious, may overpricing, ‘di ba? At may overpricing, sigurado ako may corruption ‘yan,” Gatchalian said.
Agriculture Secretary Francisco Tiu Laurel Jr. echoed similar concerns, saying the current cost standards are already “too high” and that private contractors could cut at least 30 percent of the amount. He added that the country faces a backlog of 60,000 kilometers of farm-to-market roads, a gap that makes the integrity of these projects even more crucial.
Ghost Projects and Growing Scrutiny
The Department of Agriculture began auditing FMR projects in September following separate flood control corruption allegations. So far, the agency has uncovered alleged ghost projects in Mindanao, with a full report expected by the end of 2025.
Asked whether the DA should take over the construction of FMRs from DPWH, Laurel replied that while capable, he preferred not to assume the role given the ongoing scandals.
The situation surrounding Hi-Tone’s rise in the rankings may not yet prove wrongdoing, but it amplifies questions about transparency, accountability, and the fairness of public infrastructure spending. For many, it’s not just about one company’s rank, but about whether billions meant for farmers and rural communities are being used as intended.
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